DOJ charges 2 Chinese nationals who allegedly ran overseas cryptocurrency scam center targeting Americans

The U.S. Justice Department charged two Chinese nationals tied to an overseas cryptocurrency scam operation, announcing seizures of more than 500 websites and the restraint of over $700 million in cryptocurrency belonging to U.S. victims. Authorities say the Shunda compound operated from January–November 2025, trafficked workers and used fake investment platforms and a Telegram recruitment channel to defraud Americans. The move signals intensified enforcement against crypto-enabled fraud, which could increase regulatory scrutiny and negative sentiment across the crypto market (including BTCUSD) as authorities continue to target illicit channels and recover stolen funds.